Jerry Samet
05-29-2025, 06:10 PM
The market had a strong open today, but it didn’t hold. The major averages started with solid gains but they topped out in the first five minutes and it was mostly downhill from there. The New York averages finished in about the middle of their intraday trading ranges while the NASD averages closed low in theirs. The COMPQ and the NDX gained .39% and .21% respectively. The SPX was higher by .40%. Volume was mixed, slightly lower on the New York and higher on the NASD. Leading stocks were lower. The leaders index fell 1.07% on the day. The index closed low in its trading range on lower and below average volume. The index held its short term 9dma. The market had a strong open on NVDA’s earnings and a court saying the tariffs were not legal. The early gains were strong and it looked like the market would have a very positive session. Selling soon came in and most of the early gains were lost. That was disappointing. Right now the preponderance of the evidence points to the rally being on solid ground, but it is struggling a bit. Some of the major averages have charts showing what appear to be forming handles in a bigger pattern. It is a V bottom, but still a decent pattern. If they can break above the handle formations they will likely try to challenge the old highs. Right now it’s hard to say which way it will go. The PCE is coming out tomorrow before the open and could affect the market. There are a lot of conflicting signals, but the direction right now appears to be higher. Jerry